Wage Garnisment Laws in Ontario

Net wages subject to garnishment

7. (1) For the purposes of this section,

???wages??? does not include an amount that an employer is required by law to deduct from wages. R.S.O. 1990, c. W.1, s. 7 (1).

Disability payments included

(1.1) For the purposes of this section, payments from an insurance or indemnity scheme that are intended to replace income lost because of disability shall be deemed to be wages, whether the scheme is administered by the employer or another person. 1999, c. 12, Sched. B, s. 18.

Exemption from seizure or garnishment

(2) Subject to subsection (3), 80 per cent of a person's wages are exempt from seizure or garnishment. R.S.O. 1990, c. W.1, s. 7 (2).

Idem, support or maintenance

(3) Fifty per cent of a person's wages are exempt from seizure or garnishment in the enforcement of an order for support or maintenance enforceable in Ontario. R.S.O. 1990, c. W.1, s. 7 (3).

Judge may decrease exemption

(4) A judge of the court in which a writ of execution or notice of garnishment enforceable against a person's wages is issued may, on motion by the creditor on notice to the person, order that the exemption set out in subsection (2) or (3) be decreased, if the judge is satisfied that it is just to do so, having regard to the nature of the debt owed to the creditor, the person's financial circumstances and any other matter the judge considers relevant. R.S.O. 1990, c. W.1, s. 7 (4).

Judge may increase exemption

(5) A judge of the court in which a writ of execution or notice of garnishment enforceable against a person's wages is issued may, on motion by the person on notice to the creditor, order that the exemption set out in subsection (2) or (3) be increased, if the judge is satisfied that it is just to do so, having regard to the person's financial circumstances and any other matter the judge considers relevant. R.S.O. 1990, c. W.1, s. 7 (5).

Employer may pay into court

(6) Where an employer receives notice of a motion under subsection (4) or (5), the employer may pay into court the part of the person's wages that is not exempt from seizure or garnishment under subsection (2) or (3), as the case may be, and the judge on the hearing of the motion may make such order for payment out of court as is just. R.S.O. 1990, c. W.1, s. 7 (6).

Wage assignments

(7) Subject to subsection ( 8 ), an assignment of wages or any part of them to secure payment of a debt is invalid. R.S.O. 1990, c. W.1, s. 7 (7).

Originally Posted by anonymous

i am the employer of a commissioned real estate sales representative and i have just received a garnishment for him from small claims court.
No one, including the court can tell me the percentage that is to be deducted from his commissions.
Could you please help, i have been on all of your websites and cannot find this information.

Originally Posted by anonymous

i am a self employed contractor and a garnishee has been served on one of the clients i work for. Could you tell me what percentage of my earnings are subject to the garnishee
thank you